*NEWS*IS.GROUP BECOMES DITRIBUTOR

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Date: Monday February 16, 2004 09:19:00 am
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    Headline: is.group becomes distributor to take on power players
    2004 – Indianapolis (IN): is.Group has finally shown its full hand in its battle to take on the US power players – the creation of a new distribution and logistics system that will make it the first dealer group to become its own distributor.

    Looking forward to turning up the heat on Staples, office Depot et al, is.group CEO John Kreidel said: “We’re done playing David to their Goliath. The current dealer supply chain is highly inefficient, so we are changing it.”

    The move follows 7 January’s announcement that is.group has acquired IT supplies wholesaler Distributors Express Computer Supply.

    Three regional distribution centres – in Indianapolis, Indiana, Fontana, California, and Mechanicsburg, Pennsylvania – will provide the spine of the operation and stock around 2,000 items from more than 40 manufacturers. The manufacturers are the same companies that members already buy direct from and the products will be a selection of the most popular items among those already being purchased direct by dealers.

    is.group said the benefits would include lower costs, improved breadth of direct product access, faster delivery times and increased working capital.

    Dealers will be trained in the system in mid-February with a shipping test scheduled for April and a full launch in May.

    is.group chairman Harry Macey said: “We can provide small and mid-sized businesses the full-range of office supply products at prices and a level of service that’s equal to or better than what the competitors can offer.”

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